Bob, thanks for helping out on this one. I will add a few things.
outlaw1sammy, if you don't have the factory service manual, it is probably a good idea to get it. I think Geno's sells a CD-R with the service manual for a reasonable price.
I have rebuilt GM 12 bolts, GM 10 bolts, and the Ford 8. 8. I have not done the AAM 11. 5 yet but I have been researching the job.
If the pinion bearings are real loose, you will need to replace the ring and pinion.
You will want to mark your ring gear with gear marking compound, turn the ring gear in the drive direction, then turn the ring gear in the coast direction. Take a few photos of the coast and drive side of the ring gear teeth, where the gear marking compound was applied. If the pinion bearings are sloppy, the contact pattern will not be correct. I like to know what the tooth contact pattern is to begin while keeping in mind how noisy the gears are. Also you want to know if the noise is on drive or coast. If the gears are wrecked, don't worry about this.
Miller 8992 pulls the pinion flange off the pinion gear. On other diffs I've serviced, we would tap the pinion flange with a brass hammer to remove it. Pretty sure you will need this tool.
On the AAM 11. 5, the front pinion bearing is pressed on. This bearing is not a press fit on these other differentials that I mentioned. Miller part number 8977 is intended to remove the pinion gear from the bearing while still in the housing. It's possible a large brass punch will do the trick but if the pinion gear is very tightly pressed into the bearing, you will want the 8977 tool.
You will need a long steel punch to drive out the pinion bearing races. Careful not to damage the cast iron housing. If you have a brass punch long enough for the task, use it instead. Usually the brass punches are not long enough.
A set of race and seal drivers will be needed to install the new pinion races. The factory service manual shows six different pieces for installing races and seals. You might purchase the pinion bearings, races, and seal first then figure out what size drivers you need. The seals and races may be so large that a typical race and seal driver kit from Snap-On or Mac may not suffice.
A bearing splitter will be needed for the rear pinion bearing and for the carrier side bearings. Use the splitter with a hydraulic press or get a bridge (Miller 938 or equivalent). I never tried a bridge... was lucky enough to have a press.
You can run a ball hone through the rear pinion bearing's press fit surface since it will need to go on and off a few times. Not too much though... it still needs to be a press fit. Clean the rear pinion bearing well after honing it.
Setup the gears without the crush collar in to establish the tooth contact pattern. Put the OEM pinion shim in with your new gears to start. With your installation kit you should have a handful of pinion shims. The instructions that came with your new gears will tell you to change the pinion shim to move the tooth contact pattern in or out. You may have to change the shim a few times which means disassembling and reassembling a few times. Backlash is adjusted with the Miller 8883 wrench.
Miller 8979 is used to hold the pinion flange while tightening the pinion assembly against the crush collar. You might be able to build something instead but it could be less trouble to just get the Miller 8979. You will also need a 3/4" or 1" drive very long (3 to 4 feet) ratchet or breaker bar with the corresponding impact socket to tighten the pinion nut. Northern tool should have these items. This setup will always get the job done. A big impact gun may work... it is a gamble. The crush collar is put in after we have our tooth contact pattern looking good. Probably want to have 2-3 crush collars sitting around just in case.
I always checked the pinion bearing preload as I turned the pinion by hand. Factory service manuals always say to use a small (3/8" drive) dial gauge torque wrench. This is probably a good idea unless you know what the preload should feel like.
I would ask a few of the companies that manufacture gears about the tooth contact pattern since there is conflicting information. Maybe finding instruction sheets online will give you this information. Chrysler likes it dead center on the coast and drive (factory service manual). Aftermarket gear manufacturers will tell you to setup the gears so the drive side is at the root of the tooth and the coast side is closer to the center of the tooth. Richmond, Zoom, and Ford Motorsport gears all liked it this way. I had always done it this way. OEMs are known for noisy ring/pinion setups and this may be why. We ended up with very good results following the aftermarket instructions on gear setup.
A dial gauge indicator and dial gauge will be needed to measure backlash.